The World Economic Forum (WEF) issued its 2010 Financial Development Report on Thursday, showing that China has advanced four places in the index, climbing up from 26th in 2009 to 22nd in 2010, among the 57 economies listed.

The advance, said the WEF, was bolstered by "improvements in non-banking financial services" and "a notable rise in its standing in the FDI," adding that a highly stable currency and low risk of sovereign debt crisis also contributed to the stability of China's overall financial system.

As to China's nonbanking financial services, the WEF noted vigorous activities across insurance (ranking 5th), IPO (ranking 1st) and Mergers And Acquisitions (ranking 6th), despite that securitization activity (ranking 45th) still "represents one area for further development."

The index indicates Asia economies continue to show strength in financial development, in spite of the Financial Crisis. China's Hong Kong SAR has jumped 2 places from the 5th place last year to the 3rd, while Singapore remained the 4th.

The United States reclaims top spot in index, though it was said to have "no change in absolute performance," followed by the United Kingdom, which falls from the top to the 2nd.

The World Economic Forum WEF issued its 2010 Financial Development Report on Thursday showing that China has advanced four places in the index climbing up from 26th in 2009 to 22nd in 2010 among the 57 economies listed